I think in general, the average vocabulary has shrunk. It’s rather unfortunate. A strong vocabulary if essential to clear thinking. Many psychologists believe that we must have words for a thing to think about it (Russel T. Hurlburt).
I also know from personal experience that having more words with which to express lends helps me feel better understood. Feeling understood by others is very important to me and I imagine it is for others.
I often think about 1984 by George Orwell and the “newspeak” dictionary. They were trying to reduce the number of words with each edition as a method of controlling the population. I think he was on to something there.